Forbes: Investors May Underestimate 2020s System Shocks

Forbes analysis indicates investors are experiencing a series of systemic shocks across vital sectors, including energy, food, and finance. Citing a report from Generation Investment Management, the article posits that this environment necessitates resilience as a central investment approach for risk assessment and strategic development. These crises are not isolated incidents but rather represent a new operational landscape where shocks converge and intensify, directly impacting corporate balance sheets. For both corporations and investors, the primary challenge lies in comprehending how these interconnected forces collectively alter the cost of capital, supply chains, and portfolio performance. Furthermore, the analysis underscores that ESG disclosure provides the fundamental data infrastructure for investors to navigate this volatility, making its role as a risk framework crucial.